Speaking ahead of the PBR, Liberal Democrat Shadow Chancellor, Vince Cable today announced Liberal Democrat proposals for restraint and fairness in public sector pay.
The proposals would cap public sector pay rises at £400 per person to limit the growth of the public sector pay bill while ensuring fairness for teachers, nurses, police officers and other public sector workers.
The progressive measure will save taxpayers about £4bn a year while reducing pressure on front line services and protecting jobs.
Commenting Vince Cable said:
“Public sector pay makes up a quarter of all public spending so any serious and credible attempt to limit spending must include proposals on pay rises.
“Unlike the Tories who would freeze the salaries of millions of teachers, police officers, nurses and firemen while cutting taxes for millionaires, these proposals would ensure pay rises for key frontline services that are fair and economically realistic.”